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Chevron said it will follow tougher offshore-drilling regulations that were implemented by a Canadian regulator in response to the Gulf of Mexico oil spill. The rules would require the company to supply test results for the blowout preventer and its activation systems at its exploratory well in Newfoundland's waters. Also, Chevron's drill ship will be audited and inspected more often.

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The Department of the Interior seeks to implement further offshore-drilling safety regulations this year, said Interior Secretary Ken Salazar. Under the proposed rules, drillers would be required to improve the reliability of blowout preventers, Salazar said.

Chevron signed joint-venture deals with foreign oil majors to drill off the Canadian coast. Chevron will team up with Norway's Statoil to explore in Canada's portion of the Beaufort Sea. The companies will also partner with Spain's Repsol on offshore-drilling projects off the coast of Newfoundland and Labrador province.

Chevron launched an advertising campaign that centers on "common ground" issues between the company and the public. This comes as the industry continues to address the environmental impact of the Gulf of Mexico spill and offshore-drilling concerns. "We hear what people say about oil companies -- that they should develop renewables, support communities, create jobs and protect the environment -- and the fact is, we agree," said Rhonda Zygocki, Chevron's vice president of policy, government and public affairs.

Chevron reiterated its decision to commence drilling a deepwater exploratory well in Canada's waters, despite the Gulf of Mexico oil spill. Though the project has been criticized because of the risks, Chevron executive Mark MacLeod maintained that the company is an industry leader in safety. "Chevron has drilled over 300 deepwater wells. We've never had a blowout in deep water," he said.

About 591 deepwater and 4,515 shallow-water wells will be excluded from an extension of an offshore-drilling ban in the Gulf of Mexico, Interior Secretary Ken Salazar said. The 30-day moratorium that followed the Gulf oil spill has been extended for six months. After the ban is lifted, offshore-drilling rules will require certification of blowout preventers and a tougher monitoring process, Salazar said.